Statement re Exercise of settlement option
Capita issues 5.67m shares to Royal London to settle £22.47m obligation under Life & Pensions transition agreement.
- Shares issued 5,670,909 ordinary shares
- Percentage of issued share capital approximately 4.96%
- Settlement obligation approximately £22.47m
- Share price 31 pence
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Exercise of settlement option
Further to the announcement on 12 December 2025 regarding the transition agreement for the remaining two closed book Life & Pensions contracts, with its last client, Royal London’s legacy business, Capita confirms that the settlement option pursuant to that agreement has been exercised.
Under the terms of the settlement option, The Royal London Mutual Insurance Company Limited will receive 5,670,909 ordinary shares, representing approximately 4.96% of the Group’s issued share capital, in settlement of Capita's obligation to make an initial payment of approximately £22.47m. As noted in the announcement on 12 December, the newly issued shares will be subject to customary lock-up arrangements during the migration period, which is expected to be five years.
An application is being made to the Financial Conduct Authority and the London Stock Exchange for a total of 5,670,909 ordinary shares of 31 pence each to be admitted to the Official List and for trading on the Main Market for listed securities. Admission is expected to occur on or around 18 December 2025. When issued, the shares will rank pari passu with Capita’s existing ordinary shares.
Cleaned text: letterheads, contacts and legal notices removed. View the original announcement ↗ · Company filings. Not investment advice.